This indicator is used to manage trades while analyzing the different sessions to maximize profit potentials in forex trading.
All the four significant sessions (New York, Tokyo, London, and Sydney) are highlighted by this mt4 indicator. It will help you in trading strategy because the London session is the most volatile, and most of the trend trading strategies work in the London session.
How does the forex session indicator work in mt4?
The mt4 session indicator will draw a rectangle on the chart with the city’s name on the top. It will plot each rectangle in a different color to make it easy to understand the timing of other sessions.
It is a highly customizable indicator because you can also change the color of each rectangle. Besides this, it will also be used to plot boundary lines for active, past, and future sessions on price charts.
What is session overlapping?
When two or more sessions overlap in a specific time interval, it is called session overlapping.
Below is the table of session overlapping periods for different sessions in forex trading
|London & New York||15:00 – 19:00 PM (GMT +3)|
|Sydney & Tokyo||02:00 – 10:00 AM (GMT +3)|
|Tokyo & London||10:00 – 11:00 AM (GMT +3)|
Importance of mt4 sessions indicator
The primary importance of sessions in forex trading is that different volume of trading is being done in other sessions. For example, the London session is the most volatile session of trading. A lot of trading activity is done by traders during this session.
On the other hand, the Asian session has low trading activity compared to the London session.
During the London session, the price will make impulsive waves, whereas during the Asian session price will give retracement moves. That’s why trend traders usually prefer to trade in London or Tokyo sessions, avoiding trading during the Asian session.
But it mainly depends on the type of trading strategy.
MT4 session indicator has made it easy to identify different sessions on the chart by an alert system. To increase the winning probability, a retail forex trader can add this indicator to other price action strategies.
Retail traders widely use a London breakout trading strategy to capture impulsive moves of price during the London session. Forex mt4 session indicator will also help you trade with the London breakout trading strategy.